Kilb v. First Student Transportation, LLC
Kilb v. First Student Transportation, LLC
Opinion of the Court
¶1 Jerry Kalb alleges his employer discharged him for refusing to fire prounion employees and pursue other antiunion tactics. Kilb sued in state court for wrongful discharge in contravention of Washington State public policy. The trial court dismissed his claim for lack of subject matter jurisdiction on the grounds that his claim was preempted by the National Labor Relations Act (Act), 29 U.S.C. §§ 151-169, under San Diego Building Trades Council v. Garmon, 359 U.S. 236, 79 S. Ct. 773, 3 L. Ed. 2d 775 (1959). On appeal, Kilb argues that (1) as a supervisor he is not covered under the Act, (2) his state claim is distinct from that which he could bring under the Act, and (3) both recognized exceptions to Garmon apply and preclude preemption. Because Kilb’s claim is essentially the same claim he could make under the Act, and neither Garmon exception applies, the trial court did not err in dismissing Kilb’s claim; therefore we affirm.
FACTS
¶2 In 2005, Jerry Kilb began working for First Student,
¶3 Kilb alleges that starting in 2006, management at First Student had concerns that its company bus drivers would unionize. Management became aware that national
¶4 In 2007, the Gresham bus drivers voted on whether to unionize. The vote fell short of the number necessary to unionize. Following the vote, Kilb alleges that management presented him with a list of drivers perceived to be pro-union and instructed him to fire them as soon as possible. Kilb did not fire any of these drivers, and in October 2007, First Student terminated his employment. Kilb maintains he was fired for “refusing to commit the illegal acts of terminating pro-union employees and for not following the First Student management’s directives regarding leading the anti-union efforts in the Gresham branch.” Clerk’s Papers at 6.
¶5 Kilb sued in Clark County Superior Court for wrongful discharge in violation of Washington State law.
ANALYSIS
I. Standard op Review
¶6 Whether a trial court has subject matter jurisdiction is a question of law that we review de novo. Young v. Clark, 149 Wn.2d 130, 132, 65 P.3d 1192 (2003).
¶7 In the Act, Congress centralized the administration of its labor policies by creating the National Labor Relations Board (Board) and giving it broad authority. Hume v. Am. Disposal Co., 124 Wn.2d 656, 663, 880 P.2d 988 (1994). The Act preempts a state law claim that is based on conduct arguably subject to sections 7 or 8 of the Act. Garmon, 359 U.S. at 244-45; Beaman v. Yakima Valley Disposal, Inc., 116 Wn.2d 697, 704, 807 P.2d 849 (1991). Section 7 of the Act guarantees the right of employees to organize and collectively bargain. 29 U.S.C. § 157. Section 8 prohibits employer interference with employees engaging in activities protected under section 7. 29 U.S.C. § 158(a)(1). To be preempted, a cause of action need only be “potentially subject to” sections 7 or 8 of the Act. Beaman, 116 Wn.2d at 704. The party asserting preemption must put forth sufficient evidence for the court to conclude that the conduct at issue is potentially subject to the Act. Int’l Longshoremen’s Ass’n v. Davis, 476 U.S. 380, 396, 106 S. Ct. 1904, 90 L. Ed. 2d 389 (1986).
III. Coverage under the Act
¶8 Kilb argues the trial court erred in dismissing his complaint. He claims that only employees, not supervisors, are protected under section 7 of the Act and are eligible to pursue administrative remedies before the Board. First Student responds that although a supervisor is not an “employee” as the Act defined it, Kilb’s allegations of unfair labor practices are subject to the Board’s exclusive jurisdiction.
¶9 Under the Act, supervisors are explicitly excluded from the definition of “employee.” 29 U.S.C. § 152(3). Since section 7 details employees’ rights, supervisors are not entitled to its protections. See Hotel Emps. & Rest. Emps., Local 8 v. Jensen, 51 Wn. App. 676, 685, 754 P.2d
¶10 Kilb correctly argues that coverage under the Act depends on a party’s status under Washington law. In Hotel Employees, Division One of our court held that only employers, employees, and labor organizations are subject to the Act. Hotel Emps., 51 Wn. App. at 686. But the court qualified this rule, noting that courts strain to find board jurisdiction in cases involving unfair labor practices
¶11 Kilb also cites Davis, 476 U.S. at 396-98, Smith v. CIGNA Healthplan of Arizona, 203 Ariz. 173, 52 P.3d 205 (Ct. App. 2002), and Pontiac Osteopathic Hosp., 284 N.L.R.B. 442 (1987), as examples of courts refusing to preempt state claims where the aggrieved party is a supervisor. In Davis, 476 U.S. at 384-85, the plaintiff supervisor was discharged for his direct participation in attempting to form a union. Because a supervisor engaging in such activities is not covered under the Act, there was no federal jurisdiction justifying preemption. Davis, 476 U.S. at 398. In Smith, 203 Ariz. at 178, where the plaintiff alleged wrongful termina
¶12 Kilb alleges that he was discharged because he was not willing to terminate prounion bus drivers and engage in management’s antiunion efforts. An employer’s discharge of a supervisor for refusing to commit unfair labor practices is, at least arguably, a violation of section 8(a)(1).
IV. State Law
¶13 Next, Kilb argues that even if the Act covers his claim, the Garmon preemption doctrine does not apply because his state claim is not identical to the claim he would have presented to the Board. Kilb reasons that to be identical, the elements of the state and federal act claim must be the same. He contends that Washington’s public
¶14 For the Garmon preemption doctrine to apply, the controversy presented to the state court must be identical with that which could be presented to the Board. Beaman, 116 Wn.2d at 709. Preemption is designed to shield the system from conflicting regulation of conduct; it is therefore the conduct being regulated, not the legal standards, that courts focus on in deciding whether the Board’s jurisdiction is exclusive. Amalgamated Ass’n of St., Elec. Rys. & Motor Coach Emps. of Am. v. Lockridge, 403 U.S. 274, 292, 91 S. Ct. 1909, 29 L. Ed. 2d 473 (1971). If the conduct relied on to prove an essential element of the state action is conduct that is arguably covered by the Act, the state claim is preempted. See Lumber Prod. Indus. Workers Local No. 1054 v. W. Coast Indus. Relations Ass’n, 775 F.2d 1042, 1049 (9th Cir. 1985).
¶15 Kilb relies on Brundridge v. Fluor Federal Services, Inc., 109 Wn. App. 347, 35 P.3d 389 (2001), to argue that his state claim is distinct from a claim of unfair labor practices under the Act. In that case, union members filed a state action alleging wrongful termination for refusing to install valves on a pipeline they believed to be unsafe. Brundridge, 109 Wn. App. at 352. In holding that the state claim differed from any claim that could have been brought before the Board, the court reasoned that the workers’ claim for wrongful discharge did not implicate collective bargaining or unionization and that claimed violations of Washington’s health and safety laws are not even arguably unfair labor practices. Brundridge, 109 Wn. App. at 361. That the plaintiffs were all members of the same union was not, as Kilb suggests, relevant to the court’s analysis of their claim. Brundridge does not support Kilb’s position.
¶16 That the legal elements of his state claim differ slightly from those under federal law does not help Kilb. In state court, he alleged that he was discharged for refusing to terminate prounion employees and for engaging in
V. The Garmon Exceptions
¶17 There are two exceptions to preemption under Garmon: (1) when the regulated activity under state law is merely a peripheral concern of the Act or (2) when the regulated activity touches an interest so deeply rooted in local feeling and responsibility that, in the absence of compelling congressional direction, there is no inference Congress intended to deprive the states of the power to act. Garmon, 359 U.S. at 243-44; see also Hume, 124 Wn.2d at 663-64. Kilb argues that both exceptions apply to his claim.
A. Peripheral Concern
¶18 Kilb maintains that the discharge of supervisors is a peripheral concern under the Act. He claims that if Congress had been concerned with protecting supervisors, it would have specifically included them in a class with protected employees.
¶19 As demonstrated above, courts have inextricably linked the discharge of supervisors for refusal to commit unfair labor practices with the section 7 rights of employees under the Act. In Parker-Robb, the Board explained:
[W]hen a supervisor is discharged for testifying at a Board hearing or a contractual grievance proceeding, for refusing to commit unfair labor practices, or for failing to prevent unionization, the impact of the discharge itself on employees’ Section 7 rights, coupled with the need to ensure that even statutorily*291 excluded individuals may not be coerced into violating the law or discouraged from participating in Board processes or grievance procedures, compels that they be protected despite the general statutory exclusion.
Parker-Robb, 262 N.L.R.B. at 404. That supervisors do not fall under the definition of “employees” under the Act does not make them a peripheral concern. In many instances supervisors are the direct link between an employer’s unfair labor practices and an employee’s ability to exercise his or her rights. Kilb fails to convincingly argue the contrary.
¶20 The peripheral concern exception applies only in cases where the underlying conduct, even if arguably related to the Act, is a peripheral federal concern. See Hotel Emps., 51 Wn. App. at 679. State jurisdiction over tortious conduct, for example, is warranted where there is a state interest in regulation and the potential for interference with the federal regulatory scheme is minimal. Belknap, Inc. v. Hale, 463 U.S. 491, 512, 103 S. Ct. 3172, 77 L. Ed. 2d 798 (1983) (holding that misrepresentation and breach of contract claims in state court did not interfere with the Board’s determination of related matters); see, e.g., Farmer v. Union Bhd. of Carpenters & Joiners of Am., Local 25, 430 U.S. 290, 304-05, 97 S. Ct. 1056, 51 L. Ed. 2d 338 (1977) (rejecting the preemption of an action for intentional infliction of emotion distress even though the conduct was arguably an unfair labor practice); Linn v. United Plant Guard Workers of Am., Local 114, 383 U.S. 53, 61, 86 S. Ct. 657, 15 L. Ed. 2d 582 (1966) (holding that false statements in labor dispute that were injurious to reputation were actionable under state law). Here, Kilb’s allegations are the very definition of unfair labor practices regulated under the Act. We cannot construe his claim as a peripheral matter that bars preemption.
B. Local Concern
¶21 Kilb also contends the “local concern” exception applies given Washington’s express policy under RCW
¶22 In Hume, four former employees brought an action alleging employer retaliation for demanding compensation for overtime. Hume, 124 Wn.2d at 660-61. The court found that the statute regulating employer retaliation touched a deeply rooted local concern and therefore fell under the local concern exception to the Garmon doctrine. Hume, 124 Wn.2d at 664. Differentiating between the state and federal claims, the court reasoned that the Board’s inquiry would focus on whether overtime wage claims were a protected activity, while a state court would focus on whether the employees’ discharge was retaliatory. Hume, 124 Wn.2d at 664-65. Thus, the court was able to rely on a clearly articulated local concern to preclude preemption without interfering with the federal regulatory scheme. Hume, 124 Wn.2d at 665. Other courts have likewise found that preemption is not required when state legislation rooted in local concern does not interfere with the federal regulation of collective bargaining and unionizing. See, e.g., Brundridge, 109 Wn. App. at 361 (reasoning that the health and safety of Washington’s workers and citizens is a legitimate local concern distinct from unfair labor practices); Delahunty v. Cahoon, 66 Wn. App. 829, 839, 832 P.2d 1378 (1992) (acknowledging that Washington has a substantial interest in regulation of discriminatory employment practices, which does not interfere with the federal regulatory scheme as to unfair labor practices).
¶24 Affirmed.
Because the case has not been litigated, we take the facts from Kalb’s complaint. The respondent acknowledges Kilb’s “allegations” for the purposes of addressing the jurisdiction issue.
Respondents First Student Transportation LLC, First Student Inc., and Firstgroup America Inc. are collectively referred to as “First Student.”
Kilb filed his claim in state court on June 27, 2008, eight months after his termination. Generally, a claim of unfair labor practices under the Act must be filed and served within six months after the date of the alleged statutory violation. Kelley v. Nat’l Labor Relations Bd., 79 F.3d 1238, 1244 (1st Cir. 1996).
A number of federal circuit courts have adopted this rule. See, e.g., Russell Stover Candies, Inc. v. Nat’l Labor Relations Bd., 551 F.2d 204, 206 (8th Cir. 1977); Belcher Towing Co. v. Nat’l Labor Relations Bd., 614 F.2d 88, 91 (5th Cir. 1980); Nat’l Labor Relations Bd. v. Advertisers Mfg. Co., 823 F.2d 1086 (7th Cir. 1987); Nat’l Labor Relations Bd. v. Oakes Mach. Corp., 897 F.2d 84, 89 (2d Cir. 1990); USF Red Star, Inc. v. Nat’l Labor Relations Bd., 230 F.3d 102, 106 (4th Cir. 2000).
In his reply brief, Kilb argues that First Student has the burden of showing that his discharge directly interfered with the employees’ rights. Under the case Kilb cites, Local 1095, 711 F.2d at 387-88, there is a distinction between cases where a supervisor’s discharge is part of a “pattern of conduct” aimed at discouraging employees from exercising their rights and cases where a supervisor is discharged for refusing to commit unfair labor practices. See also Parker-Robb, 262 N.L.R.B. at 403. The Local 1095 court declined to extend a supervisor protection under the “pattern of conduct” theory where there is no direct evidence of employer interference with employees’ rights. Local 1095, 711 F.2d at 387-88. But the court affirmed that the discharge of a supervisor for refusing to commit unfair labor practices directly interferes with the exercise of employees’ section 7 rights. Local 1095, 711 F.2d at 387.
Kilb cites Hume for the proposition that Washington courts disfavor preempting claims based on Washington law. Hume does acknowledge a general prejudice against federal preemption but only to the extent that preemption requires clear congressional intent. Hume, 124 Wn.2d at 664.
Kilb argues that federal authority establishing this rule is nonbinding. But preemption law is federal law and is controlling of this jurisdiction issue. Hue v. Farmboy Spray Co., 127 Wn.2d 67, 78, 896 P.2d 682 (1995) (under the supremacy clause of United States Constitution, state law that conflicts with federal law is without effect).
Bravo, 125 Wn.2d 745, is inapposite. There, the court did not address the issue of local concern in the context of Garmon preemption.
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